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Home Renewable Wind

GERC Establishes Levelised Tariff of Rs 2.84 per kWh for Wind Power Projects

Urja Daily by Urja Daily
October 21, 2024
in Wind
Reading Time: 1 min read
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GERC Wind Power
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The Gujarat Electricity Regulatory Commission (GERC) has set a levelised tariff of Rs 2.84 per kWh for wind power projects that are commissioned between June 6, 2022 and March 31, 2027 and have a capacity below 10 MW.

According to the commission, the projects will have a life of 25 years since commissioning. Depreciation rate has been set at 60 per cent for the first year of commissioning, 4.67 per cent per annum for the first 15 years and 2 per cent per annum from the sixteenth to the twenty fifth year.  For a wind project with less than 10 MW capacity, the normative benchmark capital cost is Rs 70 million per MW. Furthermore, the operations and maintenance costs have been set at Rs 700,000 per MW for the first year of the control period, followed by a 3.84 per cent annual escalation rate.

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The central or state governments may provide financial assistance, incentives, subsidies, or other benefits to the developers. To ensure that the developer does not default on the construction timeline, GERC has mandated that wind power project developers must provide a bank guarantee of Rs 1 million per MW to the Gujarat Energy Transmission Corporation.

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